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[Publication] Nonprofit Revitalization Act: Action Plan for Corporate Compliance (2017 Update)

New York Council of Nonprofits, Inc. (NYCON)

[Publication] Nonprofit Revitalization Act: Action...

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Registration Type Price Fee
Remedial Action Guide for Compliance (2017) [Nonprofit Members Only]
Available to Nonprofit Members.
$300.00 $0.00

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UPDATE (4/27/17): This resource has been updated for compliance with the NPRA changes that will be in effect as of May 27th, 2017. 

About the
 Nonprofit Revitalization Act: Action Plan for Corporate Compliance

In December 2014, the Governor signed the Nonprofit Revitalization Act into law.  The “Act” was introduced to the Legislature as a Program Bill from the Attorney General and passed the Legislature in June 2013.  It is the first major revision of New York State Not-for-Profit Corporation Law (NFPCL) in over 40 years and most of its provisions took effect July 1, 2014.The Act comprehensively reforms the NFPCL and has a significant impact on the governance policies and practices of the state’s nonprofits. In order to comply with the new laws, the vast majority of nonprofits will need to amend their bylaws and/or revise or adopt new policies.

In order to help ensure that nonprofits are in statutory compliance in an expedient way, NYCON prepared the Remedial Action Plan for Corporate Compliance. The Plan provides a Resolution for the Board of Directors to adopt a “Statutory Compliance Article” as a bylaw amendment along with five accompanying policy documents to be attached as Appendices to the Bylaws. 

These Appendices are:

  • Bylaws and Corporate Policy Definitions
  • Board of Directors Conflict of Interest Policy
  • Code of Ethical Conduct and Annual Potential Conflicts Disclosure Statement
  • Whistleblower Protection Policy
  • Audit Oversight Policy

The documents provided in the Nonprofit Revitalization Act: Action Plan for Corporate Compliance are aimed at assisting not-for-profits to be minimally compliant to the Act in bylaw and policy statements

In some, such as the Code of Ethical Conduct and Annual Potential Conflicts Disclosure Statement, compliance language is embedded in a document that NYCON has previously recommended as a best practice. Please be aware that the Act’s thresholds for the Whistleblower Protection and Audit Oversight Policies are based on an organization’s size, so not all not-for-profits are required under law to have them. 

It is also extremely important to note that “standard language” and “templates” are just that.  Your organization can modify the drafts to higher standards; to integrate them with other organizational policies and procedures, or; if you do not meet the threshold for compliance, then adopt the policy in all or part in accordance with best practices.  

Please be reminded that every Board of Directors has a fiduciary obligation to ensure that bylaw and policy statements are properly and consistently carried out in practice. We encourage all users of this material to obtain qualified legal counsel and, where appropriate, guidance from a Certified Public Accountant (CPA) to advise in any modification and to specifically identify what other provisions in the Act may mean for your organization.  As always, if your organization is a member of NYCON, please feel free to contact us for further assistance or consultation.

This publication is designed as a resource to assist purchasers in becoming compliant with the New York State Nonprofit Revitalization Act.  It is not a verification of compliance for any individual organization.  The information contained in this guide is general legal information and should not be construed as legal advice to be applied to any specific factual situation.  This publication is distributed with the understanding that the publisher is not engaged in rendering legal, accounting, or other professional service.  If legal advice or other expert assistance is required, the services of a professional should be sought. 

PLEASE READ the end user LICENSE agreement here.

Important Notes:

  • This document is available to current Nonprofit Members of NYCON only.
  • Purchasers of this publication will be invited to a free informational webinar in June 2017 highlighting the main amendments impacting them going forward.
  • Additional consulting time with NYCON attorneys or organizational development experts may be purchased. Please contact our Membership Office for more informaton.
Have questions about [Publication] Nonprofit Revitalization Act: Action Plan for Corporate Compliance (2017 Update)? Contact New York Council of Nonprofits, Inc. (NYCON)

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New York Council of Nonprofits, Inc. (NYCON)

Founded in 1927, NYCON is a 501(C)(3) membership-based, mission-driven, statewide association of diverse charitable nonprofit organizations. With over 3,000 members, we work to build the capacity of nonprofits and communities to enhance the quality of life through responsive, cost-effective service. Our mission-based activities are enhanced by three subsidiary corporations: Governance Matters, Inc., Innovative Charitable Initiatives, Inc., and Council Services Plus.

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